Home Layer 2 Polygon’s POL Eyes $2 After Holding Key Support Amid Market Uncertainty
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Polygon’s POL Eyes $2 After Holding Key Support Amid Market Uncertainty

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Polygon’s POL Eyes $2 After Holding Key Support Amid Market Uncertainty
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Polygon’s native token POL continues to hold ground above a crucial support zone ranging from $0.19 to $0.21, despite recent market pressures. The asset currently trades at $0.2177, marking a 5% decline over the past day and an 11% drop for the week.

This price range has served as a reliable foundation over recent months, with POL consistently bouncing back from these levels. Market watchers view any retest of this base as a potential entry point, according to analyst Crypto Patel, who emphasizes that the overall structure remains intact as long as prices stay above $0.15 on higher timeframes.

Critical Breakout Level in Focus

The key resistance level that traders are monitoring sits at $0.28. A decisive break above this threshold, accompanied by a successful retest, could signal a meaningful trend reversal for POL. Patel’s technical analysis suggests this level serves as the primary breakout catalyst.

Should POL successfully clear the $0.28 resistance, price targets extend progressively to $0.41, $0.52, $0.70, and potentially reaching the $1 to $2 range. From current levels, a move toward $0.70 would represent gains exceeding 270%. This setup follows a classic accumulation-to-expansion pattern, where assets establish a solid base before initiating upward momentum.

Market Sentiment Shows Division

Current market sentiment surrounding POL displays a notable split among different indicators. While crowd sentiment leans bullish, internal modeling from Market Prophit suggests a more bearish outlook, highlighting the disconnect between retail trader expectations and algorithmic forecasts.

Trading activity remains robust despite the recent price decline, with 24-hour volume reaching $97.8 million. Market participants continue focusing on the $0.28 level as the determining factor for POL’s next directional move.

zkEVM Chain Struggles with Adoption

Polygon’s zkEVM network, which emerged from the 2021 Hermez acquisition, faces significant challenges in both user adoption and development progress. The chain has yet to implement Ethereum’s Blob upgrade and currently operates at an annual loss exceeding $1 million, according to researcher Lorenz Lehmann.

Total Value Locked (TVL) on the platform tells a concerning story, having dropped from a peak of $187 million in early 2024 to below $20 million currently, based on L2Beat tracking data. Organizational changes have also impacted the project, with Sandeep Nailwal now serving as CEO of the Polygon Foundation following the departure of several co-founders over the past two years.

Potential Market Implications

The technical setup for POL suggests a favorable risk-reward scenario for traders willing to enter near current support levels. However, the underlying challenges with Polygon’s zkEVM adoption may temper long-term bullish sentiment despite the positive chart structure.

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Written by
Logan Pierce

Logan Pierce is a U.S.-based crypto researcher and Web3 strategist with deep expertise in AI tools for crypto, Layer 2 scaling, DeFi, and on-chain analytics. With a background in software development and macro trend analysis, he breaks down complex blockchain topics into actionable insights. Logan regularly covers tokenomics, security, airdrops, and emerging technologies like zk tech, helping both beginners and advanced users navigate the evolving crypto landscape.

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